Page 1 of 2 12 LastLast
Results 1 to 10 of 19

Thread: US state Tax

  1. #1
    Join Date
    Mar 2009
    Location
    Stockton on Tees..North East UK.
    Posts
    4,952

    Default US state Tax

    Just sold a uke on eBay to the US and when I wanted to send an invoice I noticed a 10% sellers Tax added to the Total that the buyer has to pay ...What is this all about? it's never happened before.
    Last edited by Timbuck; 05-24-2019 at 08:25 PM.
    http://ukulele-innovation.tripod.com ebay i/d squarepeg_3000 Email timmsken@hotmail.com

    If you can believe that moving images and sound, can fly through empty space across the universe and be seen and heard on a box in your living room ?.. then you can believe in anything.

  2. #2
    Join Date
    Jul 2014
    Location
    Gloucester, UK
    Posts
    537

    Default

    It's the US version of VAT Timbuck. Doesn't work in quite the same way but that is the closest analogy to our tax system. Similar to me buying a uke in the US - it would have VAT slapped on it once it reached here.

  3. #3
    Join Date
    May 2010
    Location
    Cairns, Australia
    Posts
    2,327

    Default

    Don't know about the US, but when using eBay from Australia and a few other online sites, all purchases outside the country will have 10% GST automatically added to the purchase price. Within the country the GST is already included in the purchase price.

  4. #4
    Join Date
    Apr 2018
    Location
    Redmond, WA
    Posts
    217

    Default

    Until last year out-of-state sales didn't need to collect sales tax (the buyer was still theoretically required to pay it). Last year the US Supreme Court's ruling South Dakota v. Wayfair) determined that states could require large vendors to collect sales tax even if they didn't have a presense in the buyer's state. EBay started collecting sales tax for some states around the beginning of the year and adding more as other states require it

    https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4

  5. #5
    Join Date
    Feb 2018
    Location
    Saratoga, CA
    Posts
    675

    Default

    Quote Originally Posted by Arcy View Post
    Until last year out-of-state sales didn't need to collect sales tax (the buyer was still theoretically required to pay it). Last year the US Supreme Court's ruling South Dakota v. Wayfair) determined that states could require large vendors to collect sales tax even if they didn't have a presense in the buyer's state. EBay started collecting sales tax for some states around the beginning of the year and adding more as other states require it

    https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4
    Did you have to pay when you shipped to me (California) the previous soprano?

  6. #6

    Default

    Quote Originally Posted by Arcy View Post
    Until last year out-of-state sales didn't need to collect sales tax (the buyer was still theoretically required to pay it).<snip>
    https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4
    To elaborate, if a company did business in the state, even running a warehouse, they had to collect taxes on sales in that state. So, if I'd order something from Amazon, I'd be charged California taxes, even if the item was from a third party based in Texas. But with smaller company's the cost of collecting the taxes has been considered burdensome because the taxes vary from state to state, and sometimes city-to-city. In these cases, the buyer was supposed to pay the state.

    When I file my state taxes I'm asked whether I bought anything online. If I answer yes, I can enter the amount of purchases, or let the state set the tax based on my income.
    ... or maybe I'm wrong

  7. #7
    Join Date
    Mar 2009
    Location
    Stockton on Tees..North East UK.
    Posts
    4,952

    Default

    Quote Originally Posted by kerneltime View Post
    Did you have to pay when you shipped to me (California) the previous soprano?
    It's you that pays the tax, not me... But not on that Uke....I recon if you wait for the invoice you have to pay up front...But! if you pay for the item first before you recieve the invoice, you miss out the tax, ( I could be wrong tho')
    http://ukulele-innovation.tripod.com ebay i/d squarepeg_3000 Email timmsken@hotmail.com

    If you can believe that moving images and sound, can fly through empty space across the universe and be seen and heard on a box in your living room ?.. then you can believe in anything.

  8. #8
    Join Date
    Apr 2018
    Location
    Copenhagen. Denmark and Houston; TX
    Posts
    63

    Default

    Quote Originally Posted by Timbuck View Post
    Just sold a uke on eBay to the US and when I wanted to send an invoice I noticed a 10% sellers Tax added to the Total that the buyer has to pay ...What is this all about? it's never happened before.
    I find that odd because you don't have a business presence in the US at all. I could better understand the buyer having to pay an import tax. Have you contacted eBay to ask about this tax?

  9. #9
    Join Date
    Apr 2016
    Location
    the wild west, Canada
    Posts
    313

    Default

    It's interesting, I can understand you'd need to come up with a system to collect taxes from out of state sales, but out of country sales are easy to deal with by the shipping company at point of delivery. Of course you end up paying a brokerage fee as well. But on the other hand, all the small purchases that don't get processed add up to a lot of missed tax revenue.
    Glenn

  10. #10
    Join Date
    Sep 2018
    Location
    NorCal
    Posts
    276

    Default

    Something is not consistent with all the speculation here. When I googled state tax rates, the highest is 9.25%. If I purchase from Amazon, they tax me for the EXACT amount based on the rate. There is no such thing as "rounding up" to 10%.

    What state was this uke shipped to?

Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •